AI demand powers forecast hike, profit gains at tech giant ASML

THE HAGUE — Strong demand for AI systems pushed up sales forecasts and drove a gain in second-quarter profits Wednesday at Dutch tech giant ASML, which manufactures chip-making machines to power the tech industry.

ASML is a critical cog in the global economy and a key bellwether for the tech sector, as everything from smartphones to missiles rely on the semiconductors crafted with its tools.

Investors were watching the results especially closely after several sharp sell-offs in the tech sector over fears the AI bubble might be approaching its bursting point.

But the firm's chief executive officer Christophe Fouquet said AI was still pushing his business forward.

"Ongoing AI-related investments and continued progress in AI technologies are driving demand for advanced Logic and Memory chips, further strengthening the semiconductor industry's growth outlook," said Fouquet in a statement.

"Our order intake remained extremely strong in the first half of the year," added the CEO.

The firm, Europe's biggest by market capitalisation, said it now expected to make between 43 and 45 billion euros ( ...